Mortgage and Refinance Rates Update for August 5, 2024 Significant Drop in Rates

It might seem like interest rates have been dropping gradually, they have actually fallen more significantly than many people might have noticed. This weekend saw a notable reduction in rates across the board. According to data from Zillow, the 30-year fixed mortgage rate is now 6.12%, which is a substantial decrease from 6.76% in early July, a drop of 64 basis points. Similarly, the 15-year fixed mortgage rate has dropped by 63 basis points, now at 5.35%.

While rates for purchasing homes are trending downward, the mortgage refinance rates have been inconsistent this weekend, with some increasing and others decreasing. Given the higher availability of homes during the summer months, it may be a more opportune time to buy rather than refinance.

Current Mortgage Rates
Based on the latest data from Zillow, the current mortgage rates are as follows:

•   30-year fixed: 6.12%
•   20-year fixed: 5.72%
•   15-year fixed: 5.35%
•   5/1 ARM: 6.02%
•   7/1 ARM: 6.05%
•   30-year FHA: 5.42%
•   15-year FHA: 4.84%
•   5/1 FHA: 5.00%
•   30-year VA: 5.42%
•   15-year VA: 4.84%
•   5/1 VA: 5.72%

These rates represent national averages, rounded to the nearest hundredth.

Current Mortgage Refinance Rates
According to the latest Zillow data, the current mortgage refinance rates are:

•   30-year fixed: 7.23%
•   20-year fixed: 6.96%
•   15-year fixed: 5.96%
•   5/1 ARM: 5.94%
•   7/1 ARM: 5.85%
•   30-year FHA: 5.60%
•   15-year FHA: 4.83%
•   30-year VA: 5.53%
•   15-year VA: 4.94%
•   5/1 VA: 5.79%

Again, these figures are national averages, rounded to the nearest hundredth. Typically, refinance rates tend to be higher than those for new purchases, though this can vary.